Nature Based Solutions investment - our case studies

Supporting Aviva Investor's forest carbon strategy

We were commissioned by Par Equity to support Aviva Investors, one of the UK’s largest financial institutions, in implementing their commitment to becoming carbon net zero by 2040. We assisted with the practical and commercial challenges of converting this commitment into action related to sustainable land-use – from investment policies to asset acquisition and management. This also included carbon modelling and reporting and biodiversity strategy.

Our Impact 

Par and Aviva have since announced a major peatland restoration, carbon capture and woodland creation scheme following acquisition of Glen Dye Moor in Scotland. They plan to deliver a significant woodland creation and peatland restoration scheme in the North-East of Scotland that aims to capture over 1.4 million tonnes of carbon. Aviva Investors and Par have established an investment vehicle which has acquired 6,356 hectares of moorland in the Glen Dye area of West Aberdeenshire as its first investment.

Woodland creation and peatland restoration is expected to commence in 2023. It is anticipated that there will be 3,000 hectares of tree planting over the lifetime of the project, projected to sequester 780,000 tonnes of CO2e, validated in accordance with the Woodland Carbon Code. In addition the project aims to restore 1,800 hectares of degraded peatland, reducing emissions by 650,000 tonnes of CO2e, validared under Peatland Carbon Code.

Tom Croy, Investment Manager, Par Equity: 

“Glen Dye offers a tremendous opportunity to deliver an outstanding project as part of the journey to net zero. It will make a major contribution in terms of carbon capture and peatland restoration at national scale and will also provide employment while protecting and enhancing the landscape.”

Feasibility study on market potential and drivers of nature-based businesses in Southeast Asia

Food, land and ocean use systems comprise a significant share of environmental impacts from society. However, they also represent upwards of USD 10 trillion of GDP and up to 40% of employment opportunities globally.

Within these systems, the Natural Capital Initiative, as part of the RS Group, a Hong Kong-based family office impact investor, identified five key socioeconomic transitions needed to protect and enhance nature in the region.

While business opportunities associated with these various socioeconomic transitions are rapidly growing, much of the committed capital from private investors globally has been concentrated on nature-based strategies that are geographically-focused on regions outside of Asia. The RS Group therefore saw a need to identify opportunities for cash flow-generating projects in Asia that can serve to mobilise private finance towards nature-positive businesses.

The Solution 

To do so, RS Group sought technical expertise from Terranomics to better understand the market potential of nature-based businesses in Southeast Asia across the five socioeconomic transitions, building a foundation for future targeted interventions through a Nature Venture Builder to be established by RS Group and other partners. The report, under the guidance of RS Group and Posaidon Capital covered three phases.

Firstly, the state of nature based-businesses in Southeast Asia was analysed, identifying archetypes for business models across the transition themes. Second, shortlisted business models were assessed by their potential for conservation impact, scaling and replication, with required enabling conditions identified. Lastly, Terranomics provided a ranking of shortlisted business models, with a recommended portfolio for the Nature Venture Builder to take forward for investment.

The Impact

This work directly informed the launch of a new conservation investment firm, Terratai, Asia’s first venture builder for nature. It will invest in businesses that protect and restore Asia’s most at-risk landscapes and seascapes.